Dec 12, 2012 1:00pm PST
the debt ceiling debate. we all knew that america wasn't going to default on its debt, but getting there was incredibly painful. it was damaging. it damaged the economy as well. and that's when you see someone like bernanke making these warnings. republicans should know this. they are the ones who keep saying what we need in the tax code is certainty. tax rates need to be permanent. this is a tremendous amount of uncertainty when we know what the outcome is. so just do it. >> julian, to richard's point, the head of the imf has warned the administration here that if this matter is not resolved soon, there is going to be collateral damage globally. does speaker boehner take cognizance of comments like that? or is he simply focused on persuading his own caucus to buy what he's offering? >> we've seen republicans willing to strap the bomb to their chest and blow up the entire environment. we saw that in october of '08 when the markets caved and we needed the t.a.r.p. reform. we saw it in july of 2011. i think they realized they have no leverage in this case. so i think it's different.